Part 1 Preliminary 3 1. Name of Rules 3 2. Commencement 3 3. Revocation 3 4. Definitions 3 Part 2 Benefit requirements 5 5. Listing of, and benefits for, prostheses 5 5A. Circumstances in which a prosthesis is provided other than circumstances in which a medicare benefit is payable 6 5B. Conditions in relation to provision of listed prostheses 6 6. Benefits for prostheses provided as part of hospital treatment 6 7. Benefits for prostheses provided as part of hospital-substitute treatment 7 Part 3 Other 8 8. Timing of applications to have a prostheses listed 8 9. Minister may have regard to recommendations and advice 8 10. Listing criteria for prostheses to be listed on Part C of the Schedule 8

Part 1 Preliminary 1. Name of RulesThese Rules are the Private Health Insurance (Prostheses) Rules 2014 (No. 2). 2. Commencement and authority(1) These Rules commence on 7 September 2014. (2) These Rules are made under item 4 of the table in section 333-20 of the Private Health Insurance Act 2007. 3. RevocationThese Rules revoke the Private Health Insurance (Prostheses) Rules 2014 (No. 1). 4. DefinitionsIn these Rules: accredited podiatrist means a podiatric surgeon who holds specialist registration in the specialty of podiatric surgery under the National Law. Note: The registration requirements for an accredited podiatrist for the purposes of these Rules are the same registration requirements for podiatric surgeons as set out in rule 8 of the Private Health Insurance (Accreditation) Rules. Act means the Private Health Insurance Act 2007. certified overnight Type C procedure has the same meaning as in rule 3 of the Private Health Insurance (Benefit Requirements) Rules. certified Type C procedure has the same meaning as in rule 3 of the Private Health Insurance (Benefit Requirements) Rules. consultant physician has the same meaning as in subsection 3(1) of the Health Insurance Act 1973. gap permitted prosthesis means a prosthesis of a kind listed in the Schedule where an amount is set out for that kind of prosthesis in the column under the heading 'Minimum Benefit' and a different amount is set out in the column under the heading 'Maximum Benefit'. implantable cardiac event recorder includes a component of an implantable cardiac event recorder. insulin infusion pump includes a component of an insulin infusion pump. listed prosthesis means a kind of prosthesis listed in the Schedule to these Rules. listing application has the same meaning as in subsection 72-10(6) of the Act. listing criteria has the same meaning as in subsection 72-10(6) of the Act. National Law means: (a) for a State or Territory other than Western Australia — the Health Practitioner Regulation National Law set out in the Schedule to the Health Practitioner Regulation National Law Act 2009 (Qld) as it applies (with or without modification) as law of the State or Territory; or (b) for Western Australia — the legislation enacted by the Health Practitioner Regulation National Law (WA) Act 2010 that corresponds to the Health Practitioner Regulation National Law. Note: The Intergovernmental Agreement for a National Registration and Accreditation Scheme for the Health Professions that was made on 26 March 2008 provides for the enactment of the State and Territory legislation mentioned in this definition. no gap prosthesis means a prosthesis of a kind listed in the Schedule where an amount is set out for that kind of prosthesis in the column under the heading 'Minimum Benefit' and no amount is set out in the column under the heading 'Maximum Benefit'. private hospital means a hospital in respect of which there is in force a statement under subsection 121-5 (8) of the Act that the hospital is a private hospital. professional attendance has the same meaning as in clause 1.2.3 of the general medical services table being the table prescribed under section 4 of the Health Insurance Act 1973. professional service has the same meaning as in subsection 3(1) of the Health Insurance Act 1973. public hospital means a hospital in respect of which there is in force a statement under subsection 121-5(8) of the Act that the hospital is a public hospital. Schedule means the Schedule in these Rules. Note: Terms used in these Rules have the same meaning as in the Act―see section 13 of the Legislative Instruments Act 2003. These terms include: complying health insurance policyhospital-substitute treatmenthospital treatmentmedicare benefit

Part 2 Benefit requirements 5. Listing of, and benefits for, prosthesesFor item 4 of the table in subsection 72-1 (2) of the Act: (a) the Schedule lists the kinds of prostheses: (i) in relation to which the Minister has granted an application for listing under subsection 72-10 (5) of the Act; or (ii) which are listed in accordance with section 12 of the Private Health Insurance (Transitional Provisions and Consequential Amendments) Act 2007; and Note: Section 12 of the Private Health Insurance (Transitional Provisions and Consequential Amendments) Act 2007 deals with the listing of a prosthesis that was a no gap prosthesis or a gap permitted prosthesis for the purposes of the National Health Act 1953 immediately before the commencement of the Act. (aa) circumstances in which a listed prosthesis is provided for the purposes of paragraph (d) of item 4 of the table in subsection 72-1(2) are set out in rule 5A; and (ab) conditions that must be satisfied in relation to the provision of a listed prosthesis for the purposes of paragraphs (c) and (d) of item 4 of the table in subsection 72-1(2) are set out in rule 5B; and (b) rule 6 sets out the method for working out the minimum benefit and maximum benefit for hospital treatment, covered under a complying private health insurance policy, that is the provision of a listed prosthesis; and (c) rule 7 sets out the method for working out the minimum benefit and maximum benefit for hospital-substitute treatment, covered under a complying private health insurance policy, that is the provision of a listed prosthesis.

5A. Circumstances in which a prosthesis is provided other than circumstances in which a medicare benefit is payableFor the purposes of paragraph (d) of item 4 of the table in subsection 72-1(2) of the Act, the following circumstances are set out: (a) the provision of a listed prosthesis which is associated with podiatric treatment by an accredited podiatrist. Note: Paragraph (c) of Item 4 of subsection 72-1(2) deals with the provision of a listed prosthesis in circumstances in which a medicare benefit is payable. 5B. Conditions in relation to the provision of listed prostheses For the purposes of paragraphs (c) and (d) of item 4 of the table in subsection 72-1(2) of the Act, conditions that must be satisfied in relation to the provision of a listed prosthesis in the circumstances covered by paragraph (c) or (d) of that item, as the case may be, are: (a) in relation to any kind of prosthesis where there is a statement of a requirement under the heading 'Condition' in the Schedule under the listing for that kind of prosthesis, that requirement; and (b) in relation to a listed prosthesis that is an insulin infusion pump, also: (i) the professional service associated with the provision of the insulin infusion pump must be a professional attendance by a consultant physician in the practice of his or her specialty; and (ii) the professional service must be provided as a certified Type C procedure or certified overnight Type C procedure; and (iii) the insulin infusion pump must be provided for the purpose of administering insulin. Note: Item 4 of the table in subsection 72-1(2) of the Act states other requirements in relation to benefits for the provision of prostheses that a policy that covers hospital treatment must meet. These requirements relate to benefits for hospital treatment and, if the policy covers hospital-substitute treatment, to the benefits of that coverage as well. 6. Benefits for prostheses provided as part of hospital treatment(1) For a no gap prosthesis provided as part of an episode of hospital treatment in a private hospital, the minimum benefit and the maximum benefit are each the amount for that prosthesis listed in the column in the Schedule under the heading ‘Minimum Benefit’. (2) For a gap permitted prosthesis provided as part of an episode of hospital treatment in a private hospital: (a) the minimum benefit is the amount for that prosthesis in the column in the Schedule under the heading ‘Minimum Benefit’; and (b) the maximum benefit is the amount for that prosthesis in the column in the Schedule under the heading ‘Maximum Benefit’. (3) For a no gap prosthesis provided as part of an episode of hospital treatment in a public hospital: (a) the minimum benefit is the lesser of the following amounts: (i) the amount for that prosthesis listed in the column under the heading ‘Minimum Benefit’ in the Schedule; or (ii) the amount of the insured person’s liability to the public hospital for that prosthesis; and (b) the maximum benefit is the amount for that prosthesis listed in the column under the heading 'Minimum Benefit' in the Schedule. (4) For a gap permitted prosthesis provided as part of an episode of hospital treatment in a public hospital: (a) the minimum benefit is the lesser of the following amounts: (i) the amount for that prosthesis listed in the column under the heading ‘Minimum Benefit’ in the Schedule; or (ii) the amount of the insured person’s liability to the public hospital for that prosthesis; and (b) the maximum benefit is the amount for that prosthesis listed in the column under the heading ‘Maximum Benefit’ in the Schedule. Note: Paragraphs (d) and (e) of subsection 72-10(5) of the Act deal with the fixing of minimum and maximum benefits when the Minister is making or varying the Private Health Insurance (Prostheses) Rules. 7. Benefits for prostheses provided as part of hospital-substitute treatment(1) For a no gap prosthesis provided as part of an episode of hospital-substitute treatment the minimum benefit and the maximum benefit are each the amount for that prosthesis listed in the column in the Schedule under the heading ‘Minimum Benefit’. (2) For a gap permitted prosthesis provided as part of an episode of hospital-substitute treatment: (a) the minimum benefit is the amount for that prosthesis in the column in the Schedule under the heading ‘Minimum Benefit’; and (b) the maximum benefit is the amount for that prosthesis in the column in the Schedule under the heading ‘Maximum Benefit’. Note 1: Private health insurers cannot cover, as part of hospital-substitute treatment, a service for which medicare benefit is payable unless the service is specified in the Private Health Insurance (Health Insurance Business) Rules ―see subsection 121-10 (3) (a) of the Act. Note 2: Paragraphs (d) and (e) of subsection 72-10(5) of the Act deal with the fixing of minimum and maximum benefits when the Minister is making or varying the Private Health Insurance (Prostheses) Rules.

Part 3 Other 8. Timing of applications to have a prosthesis listed As a matter of normal administrative practice, applications made under subsection 72-10 (2) of the Act will be considered after they have been received and, if the Minister decides to grant the application, the kind of prosthesis will be listed in the Schedule the next time the Minister makes or varies the Rules. Note 1: Under subsection 72-10 (5) of the Act the Minister must list the kind of prosthesis, set out the minimum benefit and, if the Minister considers it appropriate, the maximum benefit for the prosthesis in these Rules on the next occasion that the Minister makes or varies the Rules after he or she grants an application and the applicant has paid to the Commonwealth any initial listing fee within 14 days of being informed of the Minister's decision to grant the application. Note 2: Under subsection 72-15 (3) of the Act, the Minister may remove a kind of prosthesis from the list in the Rules if the applicant fails to pay an ongoing listing fee. 9. Minister may have regard to recommendations and adviceIn making the decision under subsection 72-10 of the Act, the Minister may have regard to a recommendation from the Prostheses List Advisory Committee. 10. Listing criteria for prostheses to be listed in Part C of the ScheduleFor a listing application to be granted to list a kind of prosthesis in Part C of the Schedule, the listing criterion is that the kind of prosthesis is an: (i) insulin infusion pump; or (ii) implantable cardiac event recorder. Note 1: The power to make listing criteria is in subsection 72-10(6) of the Act. Note 2: Under subsection 72-10(7) of the Act the Minister must not grant a listing application if any applicable listing criteria are not satisfied in relation to the application. Note 3: Under the Act the Minister may refuse to grant a listing application even if the listing criteria are satisfied. See Note to subsection 72-10(7) of the Act.

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